Pat Grimm is Owner/Broker of Windermere Real Estate/Capitol Hill located on 19th Ave E. His office is not currently representing and does not own property in the Brix building.
Sunday, September 27th, condo developer, Schnitzer West, will be attempting to move 40 units at Brix on Capitol Hill and 43 units at Gallery in Belltown…all within a 6 hour period. The issue is that no one has ever attempted to sell…bang of the gavel…gone…80 plus condominiums in a single afternoon in the City of Seattle. It’s a little like trying to predict the outcome of the Seahawk game this weekend, but there’s no question in my mind that the outcome will impact Seattle real estate.
Which brings up some interesting questions: Is the market deep enough? Are there enough sideline players waiting for this kind of opportunity? How much more than the minimum bid will they go for? What percentage off the original list price will they go for? The outcome of this event could speak volumes in terms of where we really are with the Seattle real estate market … as it applies to condos.
More about the Brix Auction
But Schnitzer West isn’t the only one laying things on the line here. Every condo owner in the city has something at stake here as well, especially the condo owners with their property on or soon to be on the market. It should be noted that more than half of the dwelling units in the City are now condos, townhomes or co-ops.
Hundreds of potential buyers and curiosity seekers have been through these projects over the past few weeks. It will be interesting to see how many show up on Sunday. On one hand, I’m visualizing low bidding and the outcome to be like ripping off a bandage and exposing a very ugly and painful sore with the realization that market values are significantly less than current expectations.
On the other hand, I can also see the potential for a lot of bidding and a ratification that the expectation adjustments that have already been made are true to the market. Either way, I think we’re going to find out where the market really is, and right wrong or indifferent, it is what it is. And that is bound to create some certainty in the minds and hearts of Buyers and Sellers, which can be stabilizing. … and after the past couple of years, I welcome stability.
As for me, I’ll have to choose between the Seahawk game and the auction on Sunday afternoon. I have to admit, the auction could be way more interesting.